FG owes NNPCL N4.56tn for subsidising petrol price - FAAC report – Newstrends
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FG owes NNPCL N4.56tn for subsidising petrol price – FAAC report

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FG owes NNPCL N4.56tn for subsidising petrol price – FAAC report

The Nigerian National Petroleum Company Limited (NNPCL) has informed the Federal Account Allocation Committee (FAAC) of an outstanding of N4.56 trillion for selling petrol at a subsidized price between August 2023 and June 2024.

This is according to documents from FAAC meetings in July and August, which were seen by Nairametrics.

According to a report from a FAAC Post-Mortem Sub-Committee (PMSC) meeting, the outstanding amount is said to be unrecovered funds arising from exchange rate differentials on Premium Motor Spirit (PMS) importation.

The report read: “During the last FAAC Plenary meeting, the Sub-Committee reported that NNPCL claimed that the Federation was owing an unrecovered sum of N4,344,519,176,167.32 as of May, 2024 Federation Account arising from Exchange Rate Differentials. This amount has increased to N4,558,597,379,030.6 as of June, 2024.” 

RMAFC asks NNPC for more details 

While reconciliation efforts are ongoing to resolve the outstanding balance, the Chairman of the Revenue Mobilization Allocation and Fiscal Commission (RMAFC), who presided over the subcommittee meeting, has formally requested detailed information from NNPCL management.

This information includes the volume of PMS imported, the pricing structure, and sales values, to substantiate the weighted exchange rate applied in the billing.

The report noted: “Accordingly, reconciliation is ongoing; however, the Chairman of the Commission, who chaired the meeting, had written to NNPCL management requesting the volume, price and sales value to justify the weighted exchange rate.” 

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Concerned states seek clarification 

The NNPCL’s claim raised concerns among the commissioners of finance from various states, prompting a call for further clarity and accountability.

During the meeting, the Commissioner of Finance from Akwa Ibom State sought clarification on the massive debt claimed by NNPCL and inquired about potential resolutions to the financial burden.

The Accountant-General of the Federation (AGF) and a representative from NNPCL responded during the meeting.

A copy of minutes of the meeting seen by Nairametrics read: “Responding, the Accountant-General of the Federation (AGF) recalled that the matter was discussed at the FAAC Technical Session, held earlier in the day and the representative of NNPC Ltd explained that the company had approval to apply the ‘weighted average rate’ on PMS transactions in order to maintain its current price. She stated that the representative of NNPC Ltd also explained that, if the ‘floating rate’ was to be applied, the price of PMS would be higher than the current price. 

“In his comment, the representative of NNPC Ltd informed members that there was a Federal Government directive that the ex-depot price of PMS be kept at N524.99 per litre. He explained that for the company to sell at that price, it must have to obtain Forex at N600/$, which was not the case.” 

The Commissioner of Finance from Delta State expressed concerns about NNPCL’s decision to source U.S. dollars for transactions, particularly when the crude oil being sold was already denominated in the same currency. He emphasized the need for NNPCL to be more transparent and accountable in its operations.

Also, the Commissioner of Finance from Bayelsa State suggested that NNPCL should operate more independently as a corporate entity. He argued that this would allow the company to manage its transactions without frequent recourse to the Federation Account.

FG owes NNPCL N4.56tn for subsidising petrol price – FAAC report

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More heads to roll in NNPCL, subsidiaries as Ojulari assumes office

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April 3, 2025

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Engineer Bashir Bayo Ojulari

More heads to roll in NNPCL, subsidiaries as Ojulari assumes office

There are indications that more heads will roll in the Nigerian National Petroleum Company Limited, NNPCL and its subsidiaries as Engineer Bayo Ojulari yesterday assumed office as the new Group Chief Executive Officer.

This was even as the management and staff of NNPC Ltd welcomed the appointment of a new GCEO Officer and Board of Directors for the company by President Bola Ahmed Tinubu.

However, checks Vanguard showed that the reorganisation would start from the corporate headquarters to the subsidiaries, including Upstream, Gas and Power, new Energy, Downstream and Non-Energy businesses.
The checks indicated that the reorganisation would be targeted at ensuring that round pegs are placed into round holes based on the commitment of the new leadership to achieve national goals and objectives in the oil and gas industry.

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It was confirmed that the businesses to be impacted include the NNPC E&P Limited (NEPL), NNPC Upstream Investment Management Services (NUIMS), NNPC Energy Services Limited (EnServ), NNPC Engineering and Technical Company (NETCO), NNPC New Energy Limited (NNEL), NNPC Gas Infrastructure Company (NGIC), NNPC Gas Marketing Limited (NGML), and NNPC Gas & Power Investment Services (NGPIS).

They also include NNPC Trading Limited (NTL) NNPC Retail Limited (NRL), NNPC Shipping Limited (NSL), NNPC RefChem Limited (NRCL), NNPC Downstream Investment Services (NDIS), Nigerian Pipelines and Storage Company Limited (NPSC), National Energy Reserve Management Company (NERMC), NNPC Non-Energy Investment Services (NNIS), NNPC Foundation Limited/Gte, NNPC Academy, NNPC Properties Limited (NPL), and Health Maintenance Organization (HMO) and Research Technology and Innovation (RTI).

 

More heads to roll in NNPCL, subsidiaries as Ojulari assumes office

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NNPCL hikes petrol pump price to N950/litre

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April 3, 2025

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NNPCL hikes petrol pump price to N950/litre

The Nigerian National Petroleum Company Limited (NNPCL) has raised petrol prices to N925 per litre in Lagos and N950 per litre in Abuja, effective April 2, 2025.

This represents an N65 increase from the previous price of N860 per litre in Lagos and an N70 increase from the previous price of N880 in the North.

Last week, MRS and other independent marketers increased the price of petrol, raising its pump price to ₦930 per litre in Lagos and ₦960 for residents living in the northern part of the country.

Industry experts stated that the new increase is a direct fallout of the recent suspension of sales of petroleum products in naira by the Dangote refinery.

The adjustment reflects changes in Nigeria’s deregulated fuel market, including competition, supply costs, and global oil price trends.

It also coincides with the appointment of new leadership at the national oil firm, NNPCL, by President Bola Tinubu on Wednesday. The board was also restructured.

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The NNPCL retail stations in Fadeyi, Ago Palace Way, and Ogba, as well as the NNPC station on College Road, have adjusted their prices to N925.

In Ikeja, outlets on Acme Road and the Lagos-Abeokuta Motorway have also raised their pump prices to the new rate.

However, due to logistical delays, not all NNPC stations in Lagos may have updated their prices simultaneously.

In the Federal Capital Territory, the national oil firm station located along the Kubwa motorway upped its price to N950 from N880 per litre. Other stations along Wuse effected the same increase.

This adjustment follows months of price competition. In March 2025, NNPC dropped their pricing to N860 per litre, matching Dangote Refinery’s lower rates.

However, due to rising global oil prices, exchange rate fluctuations, and changes in crude oil sourcing costs, NNPC has now revised prices upward.

Earlier in 2025, NNPC had supplied petrol at N925 per litre in December 2024 before various price adjustments.

The present rate in Lagos remains cheaper than in certain other places, including Abuja, where rates recently stood at ₦880 per litre.

NNPCL hikes petrol pump price to N950/litre

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Toyota corporation taps on Winpart by CFAO to distribute CWorks batteries in Nigeria 

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April 3, 2025

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Toyota corporation taps on Winpart by CFAO to distribute CWorks batteries in Nigeria 

 

Leading distributor and importer of high-quality automotive spare parts and lubricants in Nigeria, Winpart by CFAO, has commenced the distribution of Cworks batteries in Nigeria.

Cworks is a premium automotive battery brand from Toyota Tsusho Corporation.

This introduction marks a new era of reliability, durability, and high performance for Nigerian motorists and businesses, Winpart by CFAO says.
The firm in a statement obtained by newstrends.ng says as an official distributor and importer of top-quality automotive spare parts, Winpart by CFAO has continued to bring globally trusted brands to Nigeria, ensuring that vehicle owners and businesses have access to world-class solutions.

Developed under the renowned Toyota Tsusho Corporation, CWORKS batteries are engineered to deliver superior power, a longer lifespan, and consistent performance in all driving conditions.

Winpart by CFAO says CWorks is a product of “renowned Toyota Tsusho excellence, designed to meet global automotive standards; long-lasting performance, built for durability and resilience on Nigerian roads and weather conditions.”
The company disclosing that the batteries are now available through Winpart by CFAO outlets added that the product would facilitate “reliable power supply, ensuring smooth engine starts and sustained power for all vehicle types”.
General Manager of Winpart by CFAO, Mohamed TALEB, said, “We are excited to introduce Cworks batteries to Nigerian motorists. As a brand from Toyota Tsusho Corporation, Cworks battery reflects the same commitment to quality and performance that Toyota is known for worldwide.

“With Winpart by CFAO, Nigerians can now enjoy a battery that delivers reliability, longevity, and value.”

According to the firm, through Winpart by CFAO, Cworks batteries will be available across Nigeria via authorized dealers and service centres, ensuring easy access to high-quality battery solutions.
The company added that more information on CWORKS Batteries, can be obtained from its website- www.winpart.com.ng.

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